New Tax on EV Charging Coming Soon! Here’s What You Need to Know!

New Tax on EV Charging Coming Soon! Here’s What You Need to Know!

Impact on Electric Vehicle Owners

Beginning in the new year, electric vehicle (EV) owners in Wisconsin will encounter a noticeable change at public charging stations due to a newly introduced tax. This 3 cents per kilowatt hour tax, recently signed into law by Governor Tony Evers, is designed to help fund road maintenance as the state transitions towards an electric future.

Businesses that provide EV charging stations, such as hotels, will be required to register with the Wisconsin Department of Revenue. Revenue Secretary-designee David Casey emphasized the importance of this tax, stating it aims to create a fair system where all drivers contribute to maintaining the state’s infrastructure.

Projected revenues from this initiative are estimated at $3.35 million for 2025 and $3.85 million for 2026—significantly less than what is generated from traditional gas taxes. Importantly, this tax will not apply to home charging, which is where most EV charging occurs.

Many EV owners, like Libby Belden from Verona, view this tax as manageable. While it will impact charging on long trips, the overall cost remains lower compared to gasoline expenses. Charging a 50 kilowatt hour EV battery will amount to $1.50, whereas filling a typical 15-gallon gas tank incurs nearly $5 in taxes.

As more charging stations emerge, particularly in northern Wisconsin, owners are optimistic about both their travel experiences and the positive impact on local businesses during charging breaks.

Wisconsin Introduces New Tax on Electric Vehicle Charging: What You Need to Know

Starting January 1, 2024, electric vehicle (EV) owners in Wisconsin will experience a shift in the cost of using public charging stations due to a newly implemented 3 cents per kilowatt-hour tax. This regulation, signed into law by Governor Tony Evers, is part of a broader initiative to ensure all vehicle owners contribute to the maintenance of the state’s roads and infrastructure as the state moves towards an electrified transportation model.

How It Affects Electric Vehicle Owners

For Wisconsin’s EV owners, the real impact of this tax will be felt primarily at public charging stations, particularly those operated by businesses such as hotels and shopping centers. To comply with the new law, these businesses will need to register with the Wisconsin Department of Revenue. Revenue Secretary-designee David Casey has underscored the importance of this tax, emphasizing the need for a fair system that distributes road maintenance costs among all drivers.

Despite the additional cost, many EV owners, including resident Libby Belden, consider the tax manageable. For instance, charging a 50 kilowatt-hour battery will entail a cost of approximately $1.50, significantly lower than the nearly $5 tax on a typical 15-gallon gasoline fill-up.

Projected Revenue and Infrastructure Development

The estimated revenue generated from this tax is expected to be $3.35 million in 2025 and $3.85 million in 2026. Although these figures are modest compared to traditional gasoline tax revenues, they play a critical role in supporting the state’s transition to electric vehicles and enhancing infrastructure.

The tax will not be applied to home charging, which accounts for the majority of EV charging needs, thereby alleviating concerns for daily EV users.

Pros and Cons of the New Tax

**Pros:**
– **Infrastructure Funding:** Helps maintain roadways and infrastructure as EV adoption increases.
– **Sustainability:** Encourages a greener future by supporting electric vehicle integration on a larger scale.

**Cons:**
– **Increased Charging Costs:** Adds an expense for long-distance travelers relying on public charging stations.
– **Potential Pricing Impact:** Businesses may pass on costs to consumers, leading to higher prices for charging services.

Future Trends in Electric Vehicle Charging in Wisconsin

As Wisconsin continues to expand its network of charging stations, especially in underserved areas like northern Wisconsin, there is potential for improved travel reliability and convenience for EV owners. With growing infrastructure, EV users are likely to engage more with local businesses during charging breaks—potentially fostering economic growth in those communities.

Additionally, innovations in charging technology may mitigate some of the cost impacts of this new tax over time, making EV ownership increasingly appealing as the market evolves.

Conclusion

The introduction of a tax on electric vehicle charging in Wisconsin marks a significant step in the state’s efforts to transition to cleaner transportation solutions. With continued infrastructure development and a strong commitment to sustainability, Wisconsin is positioning itself as a leader in the electric vehicle frontier. For more information on EV policies in Wisconsin, visit Wisconsin Government.

my ELECTRIC CAR is now WORTHLESS EVen the DEALERSHIP doesn’t want it back! EVs are DISPOSABLE JUNK!!